Railway shutdowns in Germany significantly impact logistics in the steel industry, this is reported by the railway transport news portal Railway Supply.

The strikes by German railway workers

The German steel association, WV Stahl, explained how strikes on the railway affect the industry.

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It’s noted that rail transport accounts for 50.5% of the industry’s transportation, making it crucial for both raw material logistics (iron ore, coal, limestone, and scrap) and metal product deliveries (with approximately 62 million tons transported annually).

Industry companies are concerned about the wave of strikes announced by GDL (the German locomotive drivers’ union).

Strikes can have serious consequences, risking production halts due to raw material supply disruptions.

Industrial value chains are also significantly disrupted as key sectors such as automotive and mechanical engineering face steel shortages crucial for production.

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Given the current weakness of the German economy, this is a significant blow.

Metallurgical companies are trying to avoid or at least limit production and supply disruptions together with transportation service providers.

Transitioning to other modes of transportation, noted by WV Stahl, is only partially possible due to the substantial volume of railway transport.

Depending on the scale of the strike, metallurgical companies may be able to switch to other modes of transportation to a limited extent, but only if there are available capacities.

Announcements of strikes with minimal lead time pose a serious challenge to metallurgical companies.

Another aspect is that the complex logistics of railway freight transportation take several days to return to normal even after protests end.

Thus, the consequences can accumulate.

It should be added that the GDL union has announced a new strike scheduled from March 11th to 13th, affecting both freight and passenger transport. The previous strike occurred last week.

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